Newspapers are suffering an accelerating drop in print advertising, a market that already was under stress, forcing some publishers to consider significant cost cuts and dramatic changes to their print and digital products, according to a new Wall Street Journal story with implications for The Courier-Journal and the broader Louisville media scene.
Jefferies stock analyst John Janedis has forecast an even more difficult calendar third quarter. Last month he lowered his estimates for Gannett Co., forecasting a 12.5% drop in combined print and digital ad revenues.
We’ll see how accurate he is when Gannett reports third-quarter results next Thursday morning.
Wall Street is worried. Gannett’s stock traded at a new 52-week low this morning, $10.16, before easing back into the black.
The figures will come after a recent management shake-up at the CJ, where top editor Neil Budde quit unexpectedly last week. Published reports said management believed too much emphasis had been placed on digital vs. the print version. That’s hard to fathom, however, when newspapers face more and more competition from online upstarts such as Insider Louisville.